FCPT Expands Portfolio With Automotive Service Property Acquisition

Core Viewpoint - Four Corners Property Trust (FCPT) continues its acquisition strategy, purchasing an automotive service property for $4.8 million, reflecting its efforts to diversify its portfolio and mitigate industry-specific risks [1][2]. Group 1: Recent Acquisitions - The newly acquired property is situated in a high-traffic area in Texas and is leased to a national operator under long-term, triple-net leases [2]. - FCPT has been actively acquiring properties, with a total of 87 acquisitions in 2024, amounting to approximately $265 million in investments [4]. - The company previously acquired a Burger King property in Virginia for $1.7 million, marking a successful year for its acquisition strategy [4]. Group 2: Financial Performance and Market Position - FCPT's shares have increased by 0.8% over the past six months, contrasting with a 2.7% decline in the broader industry [6]. - The Zacks Consensus Estimate for FCPT's 2024 funds from operations (FFO) per share has been revised down by 1.7% to $1.69 [6]. - In comparison, other REITs like Welltower and Terreno Realty have seen positive adjustments in their 2024 FFO estimates, indicating a more favorable outlook for those companies [7][8]. Group 3: Strategic Vision - FCPT aims to create a diversified portfolio that ensures a consistent revenue stream, although it may face challenges due to high-interest rates affecting borrowing costs [5].